Transpiration consultants can play a key role in helping you save time and money. We have found there are 10 major issues you should consider when hiring a transportation consultant. In part 1 of our two part series we will look at the first five. In part two we will review the remainder.
Transportation Consultants should take the long-term view that puts you, the client, first. Select a transportation consultant who has worked for leading companies for a long time and avoid consultants who have had a number of one-night stands. Long-term relationships bring value in many forms. If the transportation consultant has had long term relationships, chances are the advice he/she provides is both practical and implemented. Keeping the same transportation consultant (Not just the company but the people) means there is no need to educate them with each new assignment saving time, and time is money in consulting, It allows you to bounce ideas off them between engagements (normally for free) and it enables them to bring you new ideas when they discover them.
1. A good transportation consultant knows the difference between price and value. Transportation is not unlike any other service, the lowest cost is not always the best value. Up-front rate reductions, which are harder and harder to come by these days, are not the full story, as every manager who has been seeking trucks at month-end knows.
2. An understanding of how carriers incur costs and how carriers can offset those costs is a key factor for transportation consultants. This knowledge can create a win-win situation and save money for the carrier. It is safe to assume that most large companies have achieved cost savings by working with transportation consultants to optimize these strategies that consultants know in the past few years. Also a good transportation consultant who knows the cost structures may suggest launching a private fleet, which is just one example of opening a broader range of options to maximize cost savings.
3. Knowing the competitive landscape and being respected by the carriers is essential for the transportation consultant. A worthy guide can quickly determine which carrier or company would be interested in your business as well as the kind of structure that would be most advantageous. Long-term viability of the carriers and the way to get good last-second concessions is the hallmark of a good transportation consultant.
4. Good transportation consultants switch their clients between modes, because it can save money. A good transportation consultant must have a solid understanding of each of the modes. Here is an example. Many boxcars become available at reasonable rates when automotive manufactures are slow. The boxcars become available at very reasonable rates. Also when we see high levels of imports, shipping companies need to get those containers back to port, so we see fantastic rates on shipping containers going to port areas.
5. Legal contracts can cost you an arm and a leg if you don't know what you are doing. Many clients don't. Good Transportation consultants do. And typically they will create the valid contract in the clients favor. Key points can be missed, assessorial changes will nickel and dime you to death, and if you don't have the contract ready at the beginning, last minute negotiations will drive you crazy and cost you a lot of money. In addition to the business side of the contract, good Transportation consultants know the legal aspects of good-binding contracts and how to negotiate in your favor. And they save legal time too.
In part 2 of our series on 10 Steps to hiring a good transportation consultant, we will review the final 5.
Fortune 50 companies such as Proctor and Gamble have worked with transportation consultant Thomas Moore and his associates for the past several years. P&G and other top companies know Transportation Warehouse Optimization take the long-term view and find practical solutions that result in saving the client millions of dollars. Ask for a free consultation. Visit their website at www.transportationoptimization.com. Be sure and TEST YOUR SKILLS and see if you can manage your companies cost savings by efficiently load a truck. - 15431
Transportation Consultants should take the long-term view that puts you, the client, first. Select a transportation consultant who has worked for leading companies for a long time and avoid consultants who have had a number of one-night stands. Long-term relationships bring value in many forms. If the transportation consultant has had long term relationships, chances are the advice he/she provides is both practical and implemented. Keeping the same transportation consultant (Not just the company but the people) means there is no need to educate them with each new assignment saving time, and time is money in consulting, It allows you to bounce ideas off them between engagements (normally for free) and it enables them to bring you new ideas when they discover them.
1. A good transportation consultant knows the difference between price and value. Transportation is not unlike any other service, the lowest cost is not always the best value. Up-front rate reductions, which are harder and harder to come by these days, are not the full story, as every manager who has been seeking trucks at month-end knows.
2. An understanding of how carriers incur costs and how carriers can offset those costs is a key factor for transportation consultants. This knowledge can create a win-win situation and save money for the carrier. It is safe to assume that most large companies have achieved cost savings by working with transportation consultants to optimize these strategies that consultants know in the past few years. Also a good transportation consultant who knows the cost structures may suggest launching a private fleet, which is just one example of opening a broader range of options to maximize cost savings.
3. Knowing the competitive landscape and being respected by the carriers is essential for the transportation consultant. A worthy guide can quickly determine which carrier or company would be interested in your business as well as the kind of structure that would be most advantageous. Long-term viability of the carriers and the way to get good last-second concessions is the hallmark of a good transportation consultant.
4. Good transportation consultants switch their clients between modes, because it can save money. A good transportation consultant must have a solid understanding of each of the modes. Here is an example. Many boxcars become available at reasonable rates when automotive manufactures are slow. The boxcars become available at very reasonable rates. Also when we see high levels of imports, shipping companies need to get those containers back to port, so we see fantastic rates on shipping containers going to port areas.
5. Legal contracts can cost you an arm and a leg if you don't know what you are doing. Many clients don't. Good Transportation consultants do. And typically they will create the valid contract in the clients favor. Key points can be missed, assessorial changes will nickel and dime you to death, and if you don't have the contract ready at the beginning, last minute negotiations will drive you crazy and cost you a lot of money. In addition to the business side of the contract, good Transportation consultants know the legal aspects of good-binding contracts and how to negotiate in your favor. And they save legal time too.
In part 2 of our series on 10 Steps to hiring a good transportation consultant, we will review the final 5.
Fortune 50 companies such as Proctor and Gamble have worked with transportation consultant Thomas Moore and his associates for the past several years. P&G and other top companies know Transportation Warehouse Optimization take the long-term view and find practical solutions that result in saving the client millions of dollars. Ask for a free consultation. Visit their website at www.transportationoptimization.com. Be sure and TEST YOUR SKILLS and see if you can manage your companies cost savings by efficiently load a truck. - 15431
About the Author:
Thomas Moore and his Associates at Transportation & Warehouse Optimization are premier Transportation Consultants.Working with respected companies like P&G and BP they offer Transportation Consulting solutions that save you money.
